Influential investors are drawn towards emergent culinary fads.
The cultured meat market is poised for significant expansion over the coming years, with projections estimating a compound annual growth rate (CAGR) of between 16% and 33% from the mid-2020s through the 2030s. This growth could see market sizes reach multi-billion dollar ranges, with estimates suggesting a potential value of over $36 billion by 2030 [2][3][4][5].
Sustainability and ethical concerns are key drivers of this growth. Cultured meat offers a lower environmental footprint, reduced water usage, and fewer greenhouse gas emissions compared to conventional meat production, addressing climate and animal welfare issues [2]. Technological advancements are also playing a crucial role, with improvements in cell culture media, bioreactor scalability, genetic engineering, and production efficiency enabling more cost-effective, high-quality cultured meat production [4].
Consumer acceptance and new products are further boosting the market. Launches of cultured beef, chicken, steak, and nuggets by companies like Memphis Meats, Just, and Aleph Farms are helping to drive consumer interest and adoption [4]. Beyond the human food market, cultured meat has potential applications in pet food and pharmaceuticals, expanding investment opportunities [4].
Investment opportunities in this sector include equity stakes in innovative cultured meat startups, technology providers specializing in scale-up bioprocessing equipment, culture media, and cell line engineering, companies integrating cultured meat into alternative protein portfolios, and adjacencies in synthetic biology and ingredient supply for cultured meat production [2][3][4][5].
The cultured meat market represents a high-growth, innovative segment within the larger meat and protein market, which itself is forecast to reach over $1 trillion for processed meat by 2034 [1][2][3][5]. However, it's important to note that while conventional meat remains dominant, the cultured meat market offers exciting potential for early-stage ventures, technology enablers, and integrated food companies [2][3][4][5].
In other food production trends, Oatly, a Swedish oat milk maker, recently went public on the New York Stock Exchange with a massive valuation. Vertical farming, which offers advantages such as year-round production, less water usage, elimination of pesticides, and utilization of urban spaces, is another area attracting interest [1].
However, investing in startups in entirely new food production trends can be challenging due to their non-listing on the stock exchange. For instance, Turtletree, a Singapore-based company that has developed a process to produce milk without cows using stem cells and a bioreactor, is not publicly listed [3]. However, investors can invest indirectly through companies like Beyond Meat, which has invested in Turtletree [3].
The artificial milk produced by Turtletree is identical to animal milk but has a 98% lower carbon footprint [3]. Beyond Meat, known for developing plant-based hamburger patties that mimic the taste and texture of meat, went public last year at an IPO price of $25 and is now trading around $125 [4]. Impossible Foods, a rival to Beyond Meat, is reportedly on the verge of an IPO, either traditional or via SPAC [4].
Renowned futurist Lars Thomsen predicts that cultured meat will cost only $30 per kilogram in a few years [4]. There are already test restaurants serving artificially produced meat, and McKinsey expects the market for meat from bioreactors to reach around $25 billion by 2030 [4].
In conclusion, the cultured meat market is anticipated to expand substantially, driven by sustainability, technology, and evolving consumer preferences. This makes early-stage ventures, technology enablers, and integrated food companies attractive investment areas in this emerging sector [2][3][4][5]. Meanwhile, investors can also consider investing in suppliers of oils or flavors for vegetarian products, or established food corporations with a wide range of growing vegetarian or vegan products.
Other technology advances, such as bioreactor scalability and genetic engineering, are crucial factors in the production of cost-effective, high-quality cultured meat.In addition to cultured meat, other food production trends, like Turtletree's Artificial milk production using stem cells, have the potential to revolutionize the food industry with a lower carbon footprint.
